Domestic gold prices have been fluctuating. SJC gold bars and gold rings hit VND120 million per tael on April 18, but dropped to VND113-114 million per tael the next day.

On April 22, SJC gold bars and rings surged to a new record. SJC gold bars surged to VND122.5 million per tael, while BaoTin Minh Chau gold rings exceeded VND119 million per tael.

“Global gold prices have surpassed $3,300 per ounce, pushing domestic prices up after a dip,” Nguyen Tri Hieu, a respected finance-banking expert, told VietnamNet.

He attributed global price hikes to US tariff policies toward other nations, with future adjustments uncertain.

Meanwhile, geopolitical tensions, including the Ukraine-Russia conflicts and Middle East unrest which shows no signs of easing, have fueled investor’s anxiety. Many have turned to gold as a safe-haven asset.

Domestically, after the Deputy Prime Minister directed the State Bank of Vietnam (SBV) to stabilize the gold market, enhance inspections, and crack down on profiteering, manipulation, and speculation, domestic prices fell from VND120 million to VND114 million per tael.

Yet, on April 21, prices rebounded. Hieu cited soaring global prices and limited domestic supply as key drivers.

“Stabilizing the gold market can’t rely solely on administrative orders, though they might temporarily help cool prices down. These are short-term fixes. In the long term, the supply-demand equation needs stable solutions,” Hieu said.

Nguyen Huu Huan from HCM City University of Economics also believes that global gold prices are the main factor boosting domestic prices.

“The domestic supply is short. There are more buyers than sellers. Meanwhile, no imports have come. All these factors have pushed prices up,” Huan said.

“When global prices rise, curbing domestic prices is tough. However, the buy-sell price gap could narrow. A gap of VND3-5 million per tael with global prices is acceptable, but over VND10 million per tael gap will likely prompt regulatory action to stabilize the market,” he stressed.

Ways to cool the hot market

Hieu believes that in current conditions, SBV should allow gold companies to import gold. “Decree 24 needs revision to remove the SBV’s direct role in gold trading. Gold imports and trading should be delegated to reputable, financially capable businesses, driven by SBV targets.”

He warned that stabilizing the gold market is a must as the market impacts macroeconomic balance, risking inflation and exchange rates.

“Balancing supply and demand is crucial. To reach that end, it is necessary to allow part of reserves to import gold to stabilize the market,” he said.

He noted that the domestic market would continue fluctuating for two months in accordance with world prices.

“Global prices may hit $3,500 per ounce, heavily impacting domestic prices. Without supply-demand balance, issues like gold smuggling could arise, with unpredictable consequences,” Hieu said.

Huan said stabilizing the gold market is tough, as stability depends on supply.

“It is difficult to use forex reserves to intervene the gold market at this moment. The solution for the immediate time is regulating the market with administrative measures, narrowing the gap with global prices and curbing investment and hoarding,” Huan said.

“In the long term, addressing gold supply is key. Establishing a gold certificate market would also help when physical gold demand spikes,” he added.

On revising Decree 24 (gold trading regulations), Huan said thorough discussion is needed on whether to regulate the market on the supply-demand basis, or maintain tight control, alongside with building a gold certificate market to reduce physical gold transactions.

“The former solution, i.e., letting major gold traders import for production is unlikely now. Resources must prioritize critical issues like tariffs, export-import promotion, and economic growth, not just the gold market,” Huan concluded.

At 11.36am April 22, Vietnam time, the global spot gold price stood at $3,481 per ounce. The price for June 2025 gold futures on the Comex New York exchange was $3,491 per ounce.

With the bank exchange rate of the day, global gold prices equated to nearly VND110.6 million per tael, including taxes and fees, about VND11.9 million per tael lower than domestic prices.

Domestic gold prices also surged to an all-time high.

SJC 9999 gold prices on April 22 morning were adjusted to VND120.5-122.5 million per tael (buying-selling), up VND4.5 million per tael for both buying and selling compared to April 21’s closing session.

Tuan Nguyen